Cryptocurrencies
MicroStrategy Bitcoin Bet Is a Win And a Loss at the Same Time
- Company’s nominal Bitcoin gains reach nearly $1.4 billion
- Earnings showed $689.6 million loss related to the token
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MicroStrategy Inc.’s big, and growing, bet on Bitcoin has the company sitting on massive paper gains despite having to write off millions in accounting charges related to the token.
The tech company’s 105,085 Bitcoin would produce a paper gain of about $1.4 billion if sold at Friday’s prices -- that’s more than double what MicroStrategy has posted in cumulative earnings in the last 25 years, data compiled by Bloomberg show. That nominal gain is also more than three-times the revenue generated by the company since it adopted Bitcoin as its primary treasury asset last August.